Is a managed futures account subject to performance bond calls?
A. A performance bond call is a request from the broker to deposit additional funds to the account, generally to cover losses on open positions; any futures account, managed or otherwise, is subject to them. However, a major objective of professional trading advisors is to manage and diversify their clients’ investments in a way that will avoid the necessity for performance bond calls. You may want to inquire about whether all of your funds will be committed to the market at any one point.
